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Is your ERP Data Clean Enough to Support your Business?

Four wheel drive vehicles are built to handle dirty environments. ERP systems are not.

If you’re implementing a new ERP solution it’s critical to ensure your data is clean, accurate, and correctly formatted with consistent field names and content.

As data is typically used across multiple functional areas, it should also be consistent, easy to access, use and understand by your employees and your customers.

The key is to plan your Master Data Process early to avoid unnecessary delays with your ERP Implementation.  Establishing this is a great foundation for the Data Conversion workstream.

Consequences of Poor-Quality Data

Poor data quality can lead to ERP failure and often results in:

  • Higher operational costs due to time spent correcting data issues
  • Compromised customer engagement
  • Lower team member productivity
  • Hindered decision-making processes.
  • Non-compliance to industry standards, particularly in Healthcare or Manufacturing

6 Step Plan for Quality Data

Ensuring data quality for an ERP implementation begins with developing a plan that includes steps to:

 1.   Identify data fields that are specific and unique to your business.

Start early by focusing on high-priority data and work forward from there.  Typically, this relates to products and pricing, as well as customers and suppliers.

2.   Create validation rules to standardise your data.

Embed these rules at your point of entry.

3.   Analyse the data to understand how the issues occurred in the first place.

Look for trends in missing or incomplete data to prevent a reoccurrence.

4.   Validate your data for accuracy before migration.

Use specialised tools to eliminate duplications and fill in missing values.

5.  Import your Data

If possible, enable workflow processes to enable verification and authorisation of new data records.

6.  Implement robust testing and verification procedures.

Focus on continually improving data quality because we all know humans aren’t perfect and some errors will inevitably occur.

FINALLY – Develop a Master Data Governance Plan

Assign data owners or data governance stewards to ensure employees follow and adhere to defined and correct processes when entering and manipulating data moving forward.

Avoid data quality issues by creating validation rules to standardise and clean your data before it gets migrated to a new ERP system

Peter Goes - Founder and COOCombined Management Consultants